“The ultimate modern paradox: while salaries lag and prices soar, millions still choose travel despite inflation—prioritizing unforgettable experiences today over savings for tomorrow.”
Do you feel that inflation is rising? Do you believe that people’s incomes aren’t keeping pace with this rising inflation? Have you heard people talk about a global economic slowdown?
If so, I have a slightly different perspective—one I’d like you to read carefully, as it might just shift your thinking.
Let’s accept the premise that inflation is rising at a rate far outpacing growth in salaries and profits. Let’s also acknowledge the common sentiment that there is a global economic slowdown.
Yet, when it comes to travel despite inflation, people are instantly ready to go; they happily spend thousands on a single trip within just a few days. Where does all that talk of inflation and economic slowdown vanish then? Can anyone tell me?
1) Why Are People Still Traveling Despite Rising Inflation?
If the world is facing a recession alongside rising inflation, logic suggests we should save money for emergencies; yet, the exact opposite is happening today.
People are indeed saving money, but not for emergencies, rather, for travel and leisure. I am not saying that traveling is a bad thing.
I know there are many people today planning to take a break from their busy schedules to travel and refresh their minds, right?
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In many countries, people are protesting against their governments over rising inflation, yet when I visit an airport, I see huge crowds of air travellers. When I visit a hill station, I often encounter traffic jams lasting hours due to the influx of tourists.
The situation is even more striking when I visit popular national or international tourist destinations and cannot find a hotel room. This is because all the hotels, whether luxury or budget, are fully booked with tourists.
Consider famous temples in countries like India: no matter when you visit, you will always find them teeming with devotees.
This proves that while people express concern over economic slowdowns, they remain eager to spend on leisure. According to global research from UN Tourism Data, international travel numbers remain high despite economic pressures.
2) Why Are People Saving Less and Spending More on Travel?
I acknowledge that the cost of living has risen. For the average person, living in a big city is now a dream that is impossible to achieve. The situation has reached a point where people are not willing to make long-term investments.
If you ask someone to save money over several years, their first reaction is often an inward chuckle, followed by the question: “What guarantee is there that we’ll even be alive in a few years?”
In the past, our parents and grandparents saved money for years. They used those savings to buy homes, fund our education, and cover medical expenses.
There is no doubt in my mind that our parents and grandparents were far wiser than we are. When they were young, their mindset was to save money and take care of their families’ needs first. Only then would they find time to travel or enjoy leisure activities.
👉 But beyond saving and spending, what truly matters most in life: money, health, or the relationships we build with the people around us? Explore Money, Health or Relationships – What Matters Most in Life? for another perspective.
What is the mindset of today’s youth? “Why save for years? What if we die tomorrow?” They feel it is better to travel the world right now and spend the money they would have saved on trips, so they can enjoy these moments.
Remember this prediction: in the near future, instead of saving, people will plan their travels using borrowed money or bank loans, and many will gradually find themselves drowning in debt.Banks worldwide currently offer home, personal, business, education, and even car loans.
Before taking on holiday debt, it is smart to check official Credit Management Guides to keep your spending safe. If people continue to prioritize “now” over “later,” banks will eventually start offering “travel loans,” and the irony is that people will happily take them.
3) The COVID-19 pandemic changed people’s mindset:
The COVID-19 pandemic of 2020 forced the entire world to realize that money cannot save human lives. I firmly believe that the lockdown completely transformed the mindset of most people across the globe.
Some prudent individuals learned from the lockdown that having savings would protect them from financial crises during such a pandemic. Savings proved invaluable for purchasing essentials when one lost their job indefinitely due to a pandemic.
Others learned that life is unpredictable. Realizing that death could strike at any moment, they decided to travel the world rather than save money, fearing they might never get another chance to see the globe. Consequently, many began spending lavishly on travel after the pandemic.
In today’s world, travel is no longer viewed as a luxury; people frequently set off on trips and spend money happily while traveling.
It amuses me to think that most people today fail to consider what would happen if they lost their jobs or their businesses shut down completely due to another pandemic. How would they support their families while sitting at home, having already squandered their savings on those trips?
I would like to ask you: what did you learn from the pandemic-induced lockdown? Please let me know in the comments.
My Perspective: Travel or Financial Security, What Should Come First?
My perspective is that whenever you visit any famous tourist destination in the world today, you are bound to encounter crowds. What can we infer from this overcrowding? Have people suddenly become wealthy enough to set off on vacations?
People are aware of inflation and the global economic slowdown; they know their salaries haven’t increased in years. Yet, why don’t they realize that savings are meant for emergencies, not for travel?
There are jobs, particularly in the IT sector, that allow employees to “work from home.” For these employees, it makes little difference whether they are at home or in the office; the only requirement is that they continue working on their laptops without interruption.
Some IT employees even travel with their families while simultaneously working on their laptops to handle office tasks. This is a convenient arrangement that many take advantage of, allowing them to set off on trips anywhere, anytime, with both their families and their laptops in tow.
If you are spending thousands on a vacation, that is fine; however, I have never understood why people complain about the government, citing inflation and the global economic slowdown, while doing so.
When someone lends us money and later asks for it back, we often say we don’t have the funds because our salaries are low and family expenses are high.
There are many people who constantly lament that inflation has made saving money impossible, yet a few days later, they buy an expensive phone on an EMI plan and go on a trip. They then share photos and Reels on WhatsApp Status and social media, showing the world just how much, they are enjoying themselves.
In my opinion, if you go on trips twice a month, travel around, create and upload Reels and videos to social media, and show everyone that you are living a lavish lifestyle, then when you actually face a financial crisis, no one may come to your aid, no matter how dire the emergency.
To me, those who save money are among the smartest people in the world; therefore, they should not feel, upon seeing others squandering money, that they have missed out on the true joys of life.
👉 Perhaps the bigger question is why we always feel the need for more, even after getting what we once wanted. Explore Why Human Desires Are Never Fulfilled for a deeper look at this endless cycle of wanting more.
Once you have accumulated substantial savings, you too can spend a portion of that money on trips that fit your budget.
If you have a passion for traveling and a penchant for splurging on trips, then please do not complain about the high cost of living or the global economic slowdown.
